BOROUGH OF STRASBURG
SUMMARY NOTICE UNDER
LOCAL GOVERNMENT UNIT DEBT ACT
Notice is hereby given that the Borough Council of the Borough of Strasburg will consider, at a regular meeting to be held on Tuesday, July 14, 2020, at 7:30 p.m., or at such other time and date, properly advertised, as the Borough Council may determine, no later than thirty (30) days following publication of this notice, at the address stated below, together with such other business as may come before the Council, and, if appropriate, shall enact, an Ordinance authorizing nonelectoral debt in an amount presently estimated not to exceed $4,000,000 and authorizing the execution and delivery of a certain supplement to Subsidy Agreement (Water) with the Strasburg, Lancaster County, Borough Authority. The Ordinance is summarized as follows:
Article 1 defines certain terms, including the Bonds and the Project, which consists generally of payment of the costs of: (a) refunding all or a portion of the Borough’s outstanding General Obligation Bonds, Series of 2015, and General Obligation Note, Series of 2014; and (b) issuing the Bonds.
Articles 2 and 3 authorize the incurrence of nonelectoral debt by the issuance of General Obligation Bonds, establish a sinking fund and pledge the full faith, credit and taxing power of the Borough to the payment of the Bonds.
Article 4 provides the form, maturity amounts, interest rates and the terms and provisions for the payment of the Bonds. Articles 5, 6, 7 and 8 address the Sinking Fund Depository, events of default and remedies, and amendment and discharge of the security documents.
Article 9 contains federal income tax covenants. Article 10 contains securities law covenants.
Article 11 provides for the sale of the Bonds, establishes certain funds and sets forth certain directions for Settlement, while Article 12 authorizes other related and necessary actions.
Attention is directed to the fact that the Ordinance, in the form available for examination and inspection, contains certain blanks, as permitted by the Local Government Unit Debt Act (the “Act”), that relate to, among other things, the principal maturity amounts and dates, rates of interest and redemption provisions to be applicable to the Bonds and the exact purchase price for the Bonds. Such blanks will be completed, by amendment of the Ordinance prior to or during final consideration, with information to be determined from the proposal presented for the purchase of the Bonds, when received and accepted at private sale upon negotiation.
Additional amendments may be made with respect to the Ordinance prior to or during its final passage. Advertisement related to the final passage of the Ordinance, in final form, including amendments will be made in accordance with the requirements of the Act. This notice is given in accordance with requirements of the Act.
The full text of the Ordinance, and the Supplement to the Subsidy Agreement, as proposed may be examined and inspected by any citizen (and any other person) between the hours of 8:00 a.m. to 4:00 p.m., Mondays through Fridays at the Borough Offices, 145 Precision Avenue, Strasburg PA 17579.